Energy OverView August 16, 2013

Crude oil prices ignored the sell-off in Treasury securities and stocks, buoyed by the deep concerns over the situation in Egypt. The death toll is startling, and more carnage is being readied for today, as thousands of Morsi supporters are marching through Cairo, at this writing. The use of lethal force by soldiers on their own countrymen is difficult to square. The oil market continues to have generalized anxiety over the situation. The 3 million bpd of oil and refined products transits through the Suez Canal, and the Sumed pipeline carries 1.5 million bpd. While the bullish feature of the unrest is clear…